Wednesday, 09 March 2016 05:56

Things are moving back towards Self Cert in the UK - Slowly!

We are starting to see reports of Mortgage Lenders in the UK moving back towards opening up to the Self Employed with limited proof of income.

Not so long ago the minimum period of accounts needed to be accepted as proof of income was around 3 years. The Daily Mail are reporting that a provider has now reduced their minimum accounts period to just 1 year.

http://www.dailymail.co.uk/money/mortgageshome/article-3473326/Self-employed-mortgages-offered-one-year-trading-history.html

Of course this isn't quite Self Cert (which doesn't require any proof of income), but it does show the way the winds are blowing back towards a more sensible approach to lending in the UK where deposits and LTV's are valued more than someone's history.

It also shows - as we have always predicted - more circumstantial evidence that lenders are looking for safe havens outside of the stock market that will provide returns and keep their capital secure. We wouldn't say looking to take more risk, more that they are increasingly open to new ways of lending outside of the mainstream.

We will of course keep visitors up to date if other lenders start to appear, or lenders start to reduce their burden on the "proof of income" below the 12 months point.

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Self Cert is not based in the UK. We are NOT regulated by the Financial Conduct Authority

Prague 1, Czech Rep